Synchro Food (3963) Q1 2027 earnings summary

Executive summary

• Revenue rose to 1,902 million yen, up 101.5% year-over-year, driven by the consolidation of Ideal, but operating profit fell 43.7% to 103 million yen and profit attributable to owners dropped 87.4% to 15 million yen due to lower revenue in existing businesses and increased SG&A.

• Media Platform business saw a 6.5% decline in revenue and a 69.5% drop in segment profit, while M&A Services revenue grew 10.9% with a return to segment profit.

• Property Management business contributed 1,011 million yen in revenue and 42 million yen in segment profit, with occupancy rate at 99.6% and operational properties up 8.7% QoQ.

• Strategic focus on expanding success-fee models, property management, and AI-driven service improvements.

Financial highlights

• Revenue: 1,902 million yen (YoY +101.5%, QoQ -1.1%).

• Operating profit: 103 million yen (YoY -43.7%, QoQ -45.9%).

• EBITDA: 241 million yen (YoY +26.8%).

• Net income attributable to owners: 15 million yen (YoY -87.4%).

• Gross profit for the quarter was 846 million yen, with a gross margin of 44.5%.

Outlook and guidance

• Full-year revenue forecast: 7,500 million yen (+35.3% YoY); Q1 progress at 25.4%.

• Operating profit forecast: 332 million yen (-50.3% YoY); Q1 progress at 31.2%.

• Dividend forecast is 15 yen per share for the year ending March 31, 2027.

• Profit recovery expected from Q2 onward, driven by subsidiary earnings growth.